capitol dome
Michigan Legislative Website


Michigan Compiled Laws Complete Through PA 358 of 2014

Michigan Legislative Website

Main Content

Act 281 of 1986
Search within this Statute for


THE LOCAL DEVELOPMENT FINANCING ACT

Act 281 of 1986

AN ACT to encourage local development to prevent conditions of unemployment and promote economic growth; to provide for the establishment of local development finance authorities and to prescribe their powers and duties; to provide for the creation of a board to govern an authority and to prescribe its powers and duties; to provide for the creation and implementation of development plans; to authorize the acquisition and disposal of interests in real and personal property; to permit the issuance of bonds and other evidences of indebtedness by an authority; to prescribe powers and duties of certain public entities and state officers and agencies; to reimburse authorities for certain losses of tax increment revenues; and to authorize and permit the use of tax increment financing.


History: 1986, Act 281, Eff. Feb. 1, 1987 ;-- Am. 1993, Act 333, Eff. Mar. 15, 1994 ;-- Am. 2000, Act 248, Imd. Eff. June 29, 2000


© 2009 Legislative Council, State of Michigan

The People of the State of Michigan enact:

DocumentTypeDescription
Section 125.2151SectionLegislative findings; short title.
Section 125.2152SectionDefinitions.
Section 125.2153SectionAuthority; establishment by municipality; establishment by next Michigan development corporation; limitation; powers.
Section 125.2154SectionResolution of intent; notice of public hearing; hearing; resolution exempting taxes from capture; resolution establishing authority and designating boundaries; filing and publication; alteration or amendment of boundaries; validity of proceedings; establishment of authority by 2 or more municipalities; procedures to be followed by next Michigan development corporation.
Section 125.2155SectionBoard; appointment, qualification, and terms of members; vacancy; reimbursement for expenses; chairperson; oath of office; rules; procedure; meetings; removal of member; publicizing expense items; financial records open to public; subsections (1) and (5) inapplicable to certain authority.
Section 125.2156SectionDirector, employment; compensation; term; oath of office; bond; chief executive officer; duties; acting director; appointment or employment, compensation, and duties of treasurer; appointment or employment, compensation, and duties of secretary; legal counsel; employment of other personnel; municipal retirement and insurance programs.
Section 125.2157SectionPowers of board generally.
Section 125.2158SectionAuthority as instrumentality of political subdivision.
Section 125.2159SectionTaking, transfer, and use of private property.
Section 125.2160SectionFinancing activities of authority.
Section 125.2161SectionRevenue bonds.
Section 125.2161aSectionInsufficient tax increment revenues for repayment of advance or payment of obligation; appropriation; filing claim; information required in claim; distributions; determination of amounts; limitations; distribution subject to lien; indebtedness, liability, or obligation; certification of distribution amount; basis for calculation of distributions and claims reports; use of 12-month debt payment period.
Section 125.2161bSectionRetention and payment of taxes levied under state education tax act; conditions; application by authority for approval; information to be included; approval, modification, or denial of application by department of treasury; appropriation and distribution of amount; calculation of aggregate amount; lien; reimbursement calculations; legislative intent.
Section 125.2162SectionTax increment financing plan.
Section 125.2162aSectionDesignation as certified technology park; application to Michigan economic development corporation; agreement; determination of sale price or rental value for public facilities; inclusion of legal and equitable remedies and rights; marketing services; additional certified technology parks; priority to certain applications; duties of state.
Section 125.2162bSectionCreation of authority in which certified technology park designated; agreement with another authority; designation of distinct geographic area; consideration of advantages and benefits.
Section 125.2162cSectionDesignation as certified alternative energy park; application; criteria; agreement; determination of sale price or rental value for public facilities; inclusion of legal and equitable remedies and rights; limitations; pledge to support authority's tax increment bonds; ownership and operation by economic development corporation.
Section 125.2162dSectionConveyance or lease of public facilities at less than fair market value or below market rates.
Section 125.2162eSectionNotice of designation of next Michigan development area; marketing of authority district by Michigan economic development corporation; pledge to support tax increment bonds.
Section 125.2163SectionTax increment revenues transmitted to authority; expenditure of tax increment revenues; retention or reversion of excess revenue; prohibition; abolition of tax increment financing plan; annual financial report.
Section 125.2164SectionTax increment bonds; qualified refunding obligation.
Section 125.2165SectionDevelopment plan generally.
Section 125.2166SectionAdoption of resolution approving development plan or tax increment financing plan; public hearing; notice; record.
Section 125.2167SectionDevelopment plan or tax increment financing plan as constituting public purpose; approval or rejection; considerations; amendments; procedure, notice, findings, and amendment as conclusive; contest.
Section 125.2168SectionRelocation of person; notice to vacate.
Section 125.2169SectionPreparation and submission of budget; manner; approval; cost of handling and auditing funds.
Section 125.2170SectionDissolution of authority; resolution; disposition of property and assets.
Section 125.2171SectionProceedings to enforce act.
Section 125.2172SectionEffective date.
Section 125.2173SectionConditional effective date.
Section 125.2174SectionConstitutionality of act.